Absolutely! According to research, the candle market was valued at over $7,000,000 in 2022. And it’s expected to increase to over $10,000,000 by 2028, with a growing CAGR of 5.26% in the next six years.
Far from being considered just a light source, candles now serve as a form of relaxation, wellness, and self-expression. Many people will gladly pay for high-quality, eco-friendly, and aesthetically pleasing candles that meet their needs. Over the last 10+ years, the commercial use of candles has seen a sharp increase, with spa and massage using scented candles for soothing effects, and restaurants creating aromatic environments for customers.
When we talk homemade candles specifically, that'san industry expected to reach $5 billion by 2026, according toMarketWatch.Google Trendsshows us that global interest for homemade candles is consistent:
Google Trends also demonstrates plenty of interest in specific types of candles—from scented to soy and everything in between. Shoppers’ interest in candles is not only strong, but runs the gamut.
In addition to the popularity of this hot product, candles offer business owners a number of other benefits, including:
- Low cost entry.Most candlemakers can create theirproduct with very little cash up front,although if you're looking to enter the premium market that will require pricier materials.
- Easy to sell anywhere.Want to sell your home décor items at craft fairs and local markets? Candles travel well, so you can sell them both online and offline.
- Scalable craft to learn.Whether you’re a DIY master or a crafting newbie, the base recipe for basic candles is easy to follow. As you’ll notice from our handy infographic below, the formula is simple.
- Easy to customize.With so many types of candles, it’s easy to personalize your products and differentiate yourself fromyour competitors.
How Profitable is Candle Making?
If done right, candle-making can be a profitable business. The profit margins vary depending on the ingredients, the cost of packaging, and marketing, but the average profit margin for handmade candles is around 50%; it can be slightly higher for specialty or premium ones.
How Much Does it Cost to Start a Candle Business?
The cost of starting a candle business varies depending on the number of products you want to sell, the quality of ingredients, the best fragrance oils, and packaging, and marketing. However, starting a small-scale candle business can cost anywhere from $500on the low end to $5000 for a more premium product.
Are there Legal Requirements for Selling Homemade Candles?
The legal requirements for selling homemade candles vary depending on your location. As a homemade candle maker in the US, you must comply with the Consumer Product Safety Commission (CPSC) regulations. Therefore, research the specific regulations in your area for selling this type of product.
Good Luck!
In a nutshell, starting a successful candle business requires a lot of patience, hard work, and of course, creativity.
However, if you’re hard-working and follow the steps above, you can turn your passion into a profitable small-scale business and hopefully expand over time.
